Tax Credit

CARES Act Extension & 2021 Tax Deductions

As part of the Consolidated Appropriations Act, certain charitable giving provisions of the CARES Act were extended.

Three Things You Should Know

• Tax filers who do not itemize their deductions are eligible to claim an “above the line” or “universal” charitable deduction of up to $300 for single filers and up to $600 for those married/filing jointly in 2021 only.
• In 2021 only, deductions for cash contributions to public charities can now qualify for up to 100% of adjusted gross income (previously limited to 60%).
• Also in 2021 only, deductions for corporate giving can now qualify for up to 25% of taxable income (previously limited to 10%).

This information is provided to give general gift, estate and financial planning options and is not intended to be interpreted or relied upon as legal, tax or financial advice. Please consult your tax advisor with any questions.

Download the Consolidated Appropriations Act Summary

Idaho Education Tax Credit

As an Idaho tax payer, your donations to the University of Idaho and the College of Engineering may be eligible for a 50 percent education tax credit! This credit is available regardless of whether or not you itemize deductions. For those who do itemize, a donation to the U of I allows income tax deductions on both your state and federal returns. A tax credit is a reduction to the actual tax you owe or an increase in your refund.

Tax Credit is the smallest of:

• One-half of the amount donated
• 50% of your Idaho tax (10% for Corporations)
• $500 ($1,000 if Married filing jointly, $5000 for Corporations)
• Your Idaho tax minus the amount of credit for income tax paid to other states

We encourage you to contact your tax advisor for further consultation. If you have questions, please contact the College of Engineering Advancement office at 208-885-5888.

REFERENCE
Idaho Statue 63-3029A. Income Tax Credit for Charitable Contributions